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Market Brief - Africa Economic Financial Brief 20-24 May 2013

25-May-2013

African economies have sustained unprecedented rates of growth in the past decade. This growth was mainly driven by exports of natural resources and commodities; improved macroeconomic management, a growing middle class, and increased domestic demand fuelled by consumption and increased political stability. However, Africa’s growth has not been inclusive as poverty rates and inequalities remain high. In order to foster growth inclusiveness, African economies should shift from low to high productivity activities and sectors. Therefore, Africa needs to sustain a structural transformation from a resource-based economy towards an industry- or service-based economy. Only a few African countries, including Mauritius, South Africa and Uganda, have succeeded in structurally transforming their economies.